Saskatoon real estate: Week in review (May 28–June 1 2007)
It was another big week for reported sales with a total of 146 units and while the “average overbid” across all Saskatoon real estate areas reached its highest level at $27,770 the percentage of listings which sold for more than asking price dropped to its lowest level since the last week of March. Contributing to the decline is a condo conversion project in Area 2 where the developer is actually selling condos for the asking price. Their agents reported 8 “at list” price sales. Area 4 sellers had some challenges pushing buyers above asking price and only about 33% found success in doing so.
Some of the more notable sales include;
- Showy Arbor Creek bungalow (1,010) square feet on one of the main roads with a double attached garage and an open basement brings $350,000.
- Nutana area two-storey of just 1,193 square feet with a double detached garage goes for $300,500.
- Silverwood bi-level of 1,208 square feet with a double attached garage sells for $391,000.
- Fairhaven coach home of 1,100 square feet fetches $180,100.
- A tip of the hat to Metro Developments who is marketing a condo conversion project at 315 East Place and is represented by Remax Saskatoon for actually picking a list price and allowing buyers to purchase units at that price.
See a Google map displaying the boundaries of Saskatoon real estate “areas” here
Data collection and calculation for our statistical reports
I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call or email.
Follow our daily updates on Twitter @SaskatoonHomes.
Norm Fisher
Royal LePage Saskatoon Real Estate
14 comments so far. We'd love to hear your thoughts.
April 7th, 2009 at 10:04 AM
Hi Norm,
Thanks again for the updates. Just curious if you have any more information on the 315 East Place condo development? I searched through Remax and Metro Developments pages and couldn’t find anything on either.
I have had kinda of mixed week. Disheartened by the Saskatoon housing market, I did something I never thought I would and talked to a couple of Edmonton based software firms concerning making the move out west. I have done some digging through the Edmonton area MLS listings, and although it seems that the condo prices are slightly higher than Saskatoon, the realtor I spoke with said that the market is not nearly as frenzied as what we are experiencing here. Factor this in with a significant salary boost, and it makes the move seem very attractive. Like I have said in previous posts, money has never really been a driving priority for me, but over the past year I have come to the sad conclusion that if I choose to stay in Saskatoon my dream of owning a home will come at the cost of either a reduced quality of life (living in either an undesireable neighbourhood or working insane overtime to afford a solid home in a safe neighbourhood). So at this point I have to take an objective long look at things and consider whether Saskatchewan is the best fit for me. I wish “tapping into the new economy” was as simple as Calvert makes it sound to be, but the cold fact is that our incomes here just don’t support the sort of housing costs we are now seeing. Put bluntly, I can’t help but feel as if the province is trying to drive myself and others in a similar predicament out of the province. As a guy who loves Saskatchewan, and chose Saskatoon in particular to esablish my two small businesses, I am deeply saddened by the way things have turned out.
April 7th, 2009 at 10:05 AM
Hi Jason, I just made an inquiry on these units with the listing agent. Seems that they have sold everything which was available at this time. I’m told that there may be another 6-8 units available in the next week to ten days and that they will likely be priced higher than the last group to sell.
Sorry to hear of your frustrations. It’s an unfortunate reality that this market is not working well for the young people who have stuck it out in Saskatchewan. I hope you’ll find a way to stay. If not, all the best for your future.
April 7th, 2009 at 10:05 AM
I don’t have too much to add so feel free to delete this post. Just wanted to let you know that people are reading your blog (I have been distributing it to EVERYBODY I know who’s interested in Saskatoon real estate). I think that it is extremely well ordered and invaluable in trying to gauge what is going on with the real estate market.
April 7th, 2009 at 10:06 AM
Matt, delete it? I’m thinking about posting it on the front page.
Thanks for reading, thanks for spreading the word and thanks very much for letting me know that it’s working for you. I appreciate it.
April 7th, 2009 at 10:07 AM
Alright, I’ve gotta put in my props for Norm as well. Your objective analysis is really the only truth on the sask real estate market I can find (outside of outdated CMHC and stats can).
Matt, over the past month I’ve heard, from 3 different individuals, the exact same plan (literally) to move from sask to edmonton.
Quite a sad state. Old man Calvy’s plan backfired. Sadder yet is the fact that when the bubble creates a hole, the NDP gov’t will have egg on it’s face. No one’s better at pointing out fault than the conservatives… Yikes!!!
J.
J.
April 7th, 2009 at 10:07 AM
Hi Norm,
Thanks for taking the time to check into the Remax units for me – ’tis much appreciated.
April 7th, 2009 at 10:07 AM
Thanks Johny! I’m doing the best I can to tell it like it is. Of course, it’s not always easy to know how it will be and that’s what everyone wants to know the most.
On the topic of people moving away, here’s what I’ve seen personally this year. 25 listings. 7 were secondary homes (inherited, bought for kids to reside in, etc), 3 were owned by people who built a new home, 5 were other local moves, 10 are relocations to another area. One went to Victoria, one to Cranbrook, one to China, one to Yellowknife, one to Brooks, one to Ottawa, one to Vancouver and three to Calgary. 2 of these were military, accustomed to moving as new postings are assigned. The other 8 were offered “opportunities” which struck them as more attractive than what was available here. While it’s clear to me that many are moving to Saskatoon there’s no doubt that people are still leaving. These clients are all great people, most very young, and represent a sad loss for Saskatoon.
April 7th, 2009 at 10:08 AM
Norm, wow what a market analysis. I gotta say it is one of the best approaches I’ve seen on the web.
It’s so refreshing to see a realtor who’s tells it like it is.
April 7th, 2009 at 10:08 AM
Hi Keith, thanks so much for your kind feedback. I appreciate you taking the time.
April 7th, 2009 at 10:08 AM
Hi Norm,
Just heard Pat Atkinson on the radio this morning talking about the governments plan to try and keep some of our young in the province who are otherwise being driven out by the high housing costs. Here’s hoping the plan is well thought out and not just a direct subsidy.
http://www.canada.com/reginaleaderpost/news/story.html?id=964cef8c-401b-4fc9-93c7-ce6277f8e2d0
Makes me think, maybe the half dozen letters that I have written to my MLA and the NDP might have actually been read by someone.
Have a good weekend everyone.
April 7th, 2009 at 10:08 AM
Very interesting Jason. Thanks for the link. Most often, government “affordable housing” initiatives are targeted towards those who are the very low end of the income spectrum with a more limited capacity to generate income. While these programs have their place, and I support them, I don’t think they are going to address the “young people leaving the province” group. Take the current “Centenary Affordable Housing Program” which provides a forgivable loan from the province to households earning less than $44,500. The money must be used to purchase property in one of several core areas. This program provides an excellent opportunity for its intended target but I have my doubts that it works for you. The leaving the province crowd will be the 25-30 year old, college educated couple who has not yet met their prime earning potential but wants to own a home in a newer family area which provides all of the amenities that they’ll want when they start a family. I’m not sure how you effectively help this group and encourage them to stay. It is good to know that some are at least realizing that a problem exists and want to work on it. It will be interesting to see where it goes. Thanks again.
April 7th, 2009 at 10:09 AM
http://www.canada.com/reginaleaderpost/news/viewpoints/story.html?id=b1f799d2-04f8-44d1-aa11-3e33bbb17cd4
Tax deductions won’t do squat. I’m going to be at 0 for taxes for the next ten years. I have so much “past 0 deductions” that I can’t use them.
It has to be a reduction in price or money our pocket. There’s no other way around it. The house is either cheaper or it’s not.
April 7th, 2009 at 10:09 AM
Alex,
I agree that “tax deductions” are not the answer to this problem. Yes, they have them in the states but they’re not exactly a shining example to follow. They tax “gains” on a principal residence down there as well.
What about programs designed to foster income growth? I don’t mean to be flippant but as long as your net tax payable is “0″ you will not be buying a home no matter what the government does. There have got to be some actions the government could take which create opportunities to grow incomes.
April 7th, 2009 at 10:10 AM
Norm,
I think that’s a good idea. The government should approach employers. Part an parcel of all this is that they want to retain youth and develop communities. This is something the businesses should be involved in – no matter how you slice it.
If I got paid more, enough to comfortably sustain a mortgage sensibly, then I can chalk this up to inflation and go “well, at least my pay went up.”